Listing ID: 71475
This liquor store located in the town’s major shopping center with a anchor food market and many national brand restaurants and fast- foods franchises.
- Asking Price: $399,000
- Cash Flow: $100,000
- Gross Revenue: $966,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: $300,000
- Inventory Included: N/A
- Established: 2015
- Property Owned or Leased:N/A
- Property Included:N/A
- Building Square Footage:2,200
- Lot Size:N/A
- Total Number of Employees:3
- Furniture, Fixtures and Equipment:N/A
Will Train new buyer.
The business was started in 2015, making the business 7 years old.
The sale shall not include inventory valued at $300,000*, which ins't included in the suggested price.
The business has 3 employees and resides in a building with estimated square footage of 2,200 sq ft.
The building is leased by the business for $6,500 per Month
Why is the Current Owner Selling The Business?
There are all sorts of reasons why people choose to sell businesses. Nonetheless, the real reason vs the one they tell you might be 2 totally different things. For instance, they might claim "I have a lot of other responsibilities" or "I am retiring". For lots of sellers, these factors stand. However, for some, these might just be justifications to try to conceal the reality of altering demographics, increased competition, recent decrease in profits, or an array of various other factors. This is why it is very essential that you not rely completely on a vendor's word, however instead, make use of the seller's solution together with your overall due diligence. This will repaint an extra reasonable image of the business's current situation.
Existing Debts and Future Obligations
If the current company is in debt, which lots of companies are, then you will need to consider this when valuating/preparing your deal. Lots of businesses borrow money with the purpose of covering points such as inventory, payroll, accounts payable, so on and so forth. Remember that in some cases this can imply that revenue margins are too small. Numerous businesses fall under a revolving door of taking on debt as a way to pay back various other loans. In addition to debts, there may also be future commitments to take into consideration. There might be an outstanding lease on equipment or the structure where the business resides. The business may have existing contracts with suppliers that have to be fulfilled or may result in charges if terminated early.
Understanding the Customer Base, Competition and Area Demographics
How do operating businesses in the area bring in new clients? Often times, businesses have repeat customers, which create the core of their daily earnings. Specific aspects such as brand-new competitors growing up around the area, road building and construction, as well as employee turn over can influence repeat consumers as well as adversely affect future earnings. One essential point to consider is the location of the business. Is it in a highly trafficked shopping center, or is it hidden from the highway? Certainly, the more individuals that see the business often, the higher the opportunity to develop a returning customer base. A last idea is the basic area demographics. Is the business located in a largely populated city, or is it situated on the outskirts of town? Exactly how might the regional median home earnings influence future revenue prospects?